Retailer Co-op is to increase pay for its front-line store employees, which will see hourly rates rise to at least £12.60 per hour this year.
The staff, who are members of trade union Usdaw, have accepted the award, which represents an almost 27% rise since 2022 and equates to an annualised increase of £1,200 for a full-time customer team member.
The pay rate for Co-op customer team members will increase in two steps, from £12 to £12.30 per hour from 1 April and to £12.60 from 1 August, an overall 5% increase. With paid breaks, this equates to £13.46 per hour for a full-time customer team member. For those working in London, the hourly pay rate will increase from £13.15 to £13.85 from 1 August.
Team leaders will see an increase from £13.32 to £13.65 on 1 April, and to £13.99 from 1 August. Those based in London will receive an increase from £14.47 to £15.24 from 1 August.
The increases are part of Co-op’s wider commitment to offer a generous range of benefits that supports staff wellbeing.
Kate McCrae, operations director at Co-op, said: “Our store employees are at the very heart of the business and we are pleased to be able to provide a reward package that is competitive, above inflation and impactful. This deal reaffirms our ongoing commitment to the real living wage, and ensures Co-op is among the highest food retailers in terms of pay. We truly value the dedication and hard work of our store teams, and recognise their commitment to bringing to life our co-operative difference in towns, villages and cities all across the UK.”
Paddy Lillis, general secretary for Usdaw, added: “We welcome that the staff pay increase is in line with real living wage rates. Our members are key workers in a business that delivers an essential service in our communities and it is only right they are fairly rewarded with a living wage. The cost of living continues to be a key concern for our members, so the business’ decision to respond in such a positive manner is a welcome one for our members.”
